The loan will run over three to four years and cost as much as 50 basis points, or 0.5 of a percentage point, more than Libor.

Russia's central bank declined to comment immediately.

Iceland's Financial Supervisory Authority said today that it had taken control of Landsbanki Islands hf, the country's second-largest lender. Kaupthing Bank hf, the largest bank, said the central bank had agreed to lend it 500 million euros.

According to rumours, Norway are also ready to extend help to Iceland. That should probably be a secure path forward for Iceland with Russian loans already in place - although the financial sector of Iceland is heavily leveraged.

I guess they will never starve - with all those fishing resources around them.

OOOPS,
according to Bloomberg - loans from Russia are NOT in place yet.
:eek: